5 Most Volatile Stocks Under $5 For Day Trading

Below we present the list of 5 Most Volatile Stocks Under $5 For Day Trading. For our methodology and a more comprehensive list of volatile stocks, please see the 10 Most Volatile Stocks Under $5 For Day Trading.

5. Alto Ingredients, Inc. (NASDAQ:ALTO)

Number of Hedge Fund Shareholders: 18

5-Year Monthly Beta: 2.46

Hedge fund ownership of Alto Ingredients, Inc. (NASDAQ:ALTO) shot up by 64% during Q3, as several funds added the stock to their portfolios. Jay Petschek and Steven Major’s Corsair Capital Management and Paul Marshall and Ian Wace’s Marshall Wace LLP were two of the funds buying ALTO shares during Q3.

Alto Ingredients, Inc. (NASDAQ:ALTO) shares have crumbled to a two-year low this year, falling by 39%. The specialty alcohol producer’s sales are on the rise again after a rough 2020, but its profit is lagging behind due to logistical inefficiencies and low margins. Alto lost $28 million during the third quarter, nearly $25 million more than it lost in Q3 of 2021.

Alto Ingredients, Inc. (NASDAQ:ALTO) is addressing some of its logistical issues by taking on a $125 million loan to upgrade its plants, making them more efficient, increasing redundancy, and boosting capacity. The company’s margins have also been affected by skyrocketing corn prices, which have weighed on the profitability of its ethanol production. Alto paid an average of $8.35 per bushel of corn in Q3, up from less than $3 in 2020.